The World Bank has canceled a $30 million environment conservation project for Sri Lanka, explaining that modifications proposed by the Sri Lankan government would have transformed the proposed project into a rural development initiative.
The World Bank and Sri Lanka were set to discuss the project in February but talks were delayed after the country’s finance ministry informed the bank that the existing terms of the project did not meet the government’s development priorities and suggested a series of modifications, the Daily Mirror reports.
The World Bank said that while the proposed new activities met Sri Lanka’s development priorities, their inclusion in the current project would have transformed it into a rural infrastructure development project instead of the original environment conservation initiative.
”Therefore the World Bank felt that a conservation project was not the vehicle to undertake rural infrastructure development, and it would be impossible for the project to achieve its development objectives which are conservation-focused. Under these circumstances, we felt the best course of action would be to cancel the project”, the Daily Mirror quotes an email from the World Bank office in Sri Lanka.
Read more development aid news.